Industry minister terminates resolution talks with Stellantis over Brampton auto plant sale
Joly meets with reps from company, union and Ontario government on Thursday
Industry Minister Mélanie Joly wrote to the CEO of Stellantis Canada on Thursday, saying the government is terminating a resolution process with the automaker after it announced plans to sell its Brampton, Ont., plant to an armoured vehicle manufacturer.
asserted
it → terminate → manufacturer
Stellantis had been engaged with the government to find a possible alternative for the Brampton facility after the company announced last year that it wouldn't be going ahead with plans to build the Jeep Compass at that plant.
asserted
it → engage → plant
The government had signed an agreement to provide subsidies to the automaker to retool the plant to produce the Jeep model.
asserted
government → sign → model
Joly's letter says the company is in violation of that 2022 agreement and that the planned sale to Roshel Inc. indicates Stellantis is not interested in finding a satisfactory solution.
asserted
Stellantis → say → solution
"I must conclude that Stellantis is no longer diligently working in good faith to prepare a satisfactory plan under the Resolution Process.
asserted
Stellantis → conclude → Process
Accordingly, the Resolution Process is terminated," the letter reads.
asserted
letter → terminate → ?
Stellantis and Roshel signed a memorandum of understanding regarding the potential sale in September.
asserted
Stellantis → sign → September
The automaker announced on Monday that it intends to go ahead with the sale.
asserted
it → announce → sale
More than 2,000 workers at Stellantis's Brampton plant have been out of work since the company halted operations in 2023 to retool the facility for the Jeep Compass.
asserted
company → halt → Compass
In the deal announced by the Trudeau government in 2022, Ottawa said it would inject up to $529 million in Stellantis plants in Brampton and Windsor, Ont., to help them retool to increase production of electric and gas-powered vehicles.
asserted
them → announce → vehicles
Stellantis paused the retooling plan at the Brampton plant in early 2025, announcing in October of that year that the Jeep Compass would be built at the Belvidere Assembly Plant in Illinois instead.
asserted
Compass → pause → Illinois
Part of the deal with Roshel that was announced on Monday could see Stellantis lease some of the property back.
uncertain
Stellantis → announce → property
Stellantis says there are still about 1,800 workers from the Brampton plant on layoff.
asserted
Stellantis → say → layoff
Since 2023, those workers have continued to receive 70 per cent of their pay, as well as benefits.
asserted
workers → continue → pay
Joly's letter to Stellantis suggests that the government could seek to terminate the 2022 agreement and recoup the subsidies the government gave the automaker.
uncertain
government → suggest → subsidies
After announcing the planned sale, Stellantis issued a statement on Tuesday, saying it would voluntarily pay the government subsidies back, which amount to at least $220 million.
asserted
which → announce → million
The company also said it will work with the union "toward a fair outcome" for the workers.
asserted
it → say → workers
Last week, Unifor, the union representing the workers at the plant, demanded a meeting of all stakeholders, including the Ontario government, Stellantis and the federal government.
asserted
Unifor → represent → government
Joly is attending that meeting in Toronto on the federal government's behalf in an attempt to find a way forward for laid-off Stellantis workers.
asserted
Joly → attend → workers
Prime Minister Mark Carney said Thursday that his government had been informed of "some aspects" of Stellantis's plan to sell the auto plant to Roshel before the deal was announced earlier this week.
asserted
deal → say → Roshel
The prime minister made the comments a day after reports that his office and Industry Minister Mélanie Joly's office had been aware for months of the details of what was going to be made public.
asserted
what → make → details
Joly's office has insisted that the minister "had no part in negotiating the deal with Stellantis or Roshel" and didn't meet with the armoured vehicle manufacturer.
asserted
minister → insist → manufacturer
Conservative Leader Pierre Poilievre has called on Carney to remove Joly as minister over the plant sale.
asserted
Poilievre → call → sale
He reiterated that call on Thursday and said all the details of the 2022 agreement should be made public.
asserted
details → reiterate → agreement
Your government handed over our money.
asserted
government → hand → money
Canadians deserve to know how much they paid and what they got in return," he said during a news conference in Calgary.
asserted
he → deserve → Calgary
The Aporia
